Engen Botswana revenues increase to P2.6 billion
Engen Botswana has reported an impressive set of results for 2013, the company has indicated in its annual report for the year ending December 31st, 2013.
In his report, the Group’s Managing Director (MD) Chimweta Monga said this was reflected by substantial appreciation of their share price during the year, which climbed from 616 thebe in January 2013 to 830 thebe in December 2013. “We were able to maintain reliable fuel supply with no interruptions, and added three new retail outlets to our retail portfolio.
Our lubricants business produced particularly strong results to the extent that our challenge now is to sustain these performance levels going forward,” he said.
In the report, the Group indicated that they were pleased with their performance in the year, noting that their commercial channel delivered better than expected results and contributed significantly to their strong performance. Revenue increased by 16.7 per cent to P2.6 billion. Their gross profit increased by 9.6 per cent to reach P173 million while their net profit was 6.6 per cent up to reach P130 million.
“Fuel sales increased markedly, from 279 million litres in 2012 to 289 million litres for the current year (2013),”the report said.
It further stated that fuel supply improved during the year. The other reason the Group had an impressive performance is that its three new retail outlets realised performance levels in excess of pre-construction projections. The depreciation of the South African Rand against the Pula led to an increase in foreign exchange gains from P5.1 million to P9.7 million.
“We remain optimistic regarding the 2014 financial year and expect that Botswana’s economy will continue to stabilise. We will be increasing our retail network in order to keep pace with market development and will actively participate in tender opportunities as our intention is to remain one of Botswana’s leading fuel companies. We believe the enhanced competition in recent years will stimulate us to greater heights,” the Group’s MD concluded in his report.